The Union Budget 2017-18 allocated Rs 187,223 crore for rural, agricultural and allied sectors, a 24% increase over the previous year. The Ministry of Agriculture was allocated Rs 51,026 crore, a 6.1% increase over the previous year. Key allocations included Rs 6,800 crore for agricultural research and education (9.1% increase) and Rs 2,371 crore for animal husbandry, dairying and fisheries (18.9% increase). The budget also proposed increasing agricultural credit targets to Rs 10 lakh crore, allocating Rs 9,000 crore for crop insurance schemes, and providing Rs 75 lakh per e-NAM market to develop agricultural markets.

1. Highlights of Budget 2017-18 with a specificfocus on Agriculture
andAllied Sectors

2. Introduction
• Union Budget 2017-18 was announced on February 01, 2017
• Was broadly focused on 10 themes —
The farming sector,
The rural population,
The youth,
The poor and underprivileged health care,
Infrastructure,
The financial sector for stronger institutions,
Speedy accountability,
Public services,
Prudent fiscal management and
Tax administration for the honest.

3. Allocations
• The total allocation for rural, agricultural and allied sectors for 2017-
18 is Rs 187223 crore, which is 24% higher than last year’s.
• The Ministry of Agriculture has been allocated Rs 51,026 crore in
2017-18.
• The estimated expenditure of the Ministry has increased by 6.1%
over the revised estimate in 2016-17 (Rs 48,073 crore).

4. Department wise allocations (in Rs crore)
• Department of Agricultural Research and Education: 6800
(+9.1%)
• Department of Animal Husbandry, Dairying and Fisheries: 2371
(+18.9%)
• Department of Agriculture, Co-operation and Farmers Welfare: 41855
(+5.1)

5. Policy proposals in Union Budget 2017-18:
• NABARD
Irrigation: 40,000 Cr.
Micro irrigation: 5000 Cr.
• Agricultural credit:
target of Rs 10 lakh crore has been fixed for 2017-18.
• Crop Insurance:
Pradhan Mantri Fasal Bima Yojana (PMFBY), the budget increased the allocation
from Rs5,500 crore (budgeted estimate in 2016-17) to Rs9,000 crore in 2017-18.
The target next year will be to bring 40% of cropped area under insurance and
take it to 50% next year,

6. Cont…
• Agricultural markets:
Rs 75 lakh is proposed to be provided to each e-National
Agricultural Market (e-NAM)
• Dairy processing:
A Dairy Processing and Infrastructure Development Fund is
proposed to be set up under NABARD with an initial corpus of
Rs 2,000 crore. It will be increased to Rs 8,000 crore over the
next three years.

7. Unmet Demand
• Government support for promotion of Custom Hiring Centres for farm
machinery in the form of project subsidies.
• To alleviate the problem of food grain losses (i.e. 8-10%) every year
due to post harvest wastages. Provide appropriate incentives for
warehousing facilities and allied benefits to the post-harvest
ecosystem such as engaging private sector in procurement
operations, restoring capital subsidy under the Grameen Bhandaran
Yojana, investing in solar technology applications for cold chain, etc.

8. Thank You